What if AI Optimization at Work Was… A Good Thing?
What if AI didn’t just take our work but gave us back our time?
We’re experiencing a change that feels different. While this change might be exciting for technology enthusiasts, I’d like to tackle a more human question: What’s the impact of AI on the future of the human workforce?
By now, you’ve probably read the headlines about AI taking our jobs, and come across the alarming quote from Anthropic’s co‑founder & CEO Dario Amodei: “We need to stop sugar‑coating this … AI could eliminate up to 50 % of entry‑level white‑collar jobs within the next one to five years [and] spike unemployment to 10–20 %.” But if you thought this was a doom & gloom exploration - get ready for an optimist POV.
In this article, we’ll explore whether the data indicates that AI is actually able to fully replace humans in the workforce today. We’ll explore how efficiency gains, combined with alternative compensation models like the value-based system, could unlock free time and what it could mean for us all.
Will AI Replace Humans Completely?
Operational Efficiencies, Layoffs & ChatGPT
ChatGPT’s 3.5 release might seem like yesterday, but three years afterwards, we see its reshaping of the workforce. Just in 2024, tech companies laid off more than 150,000 employees across 547 companies. And while this seemed to be a tech-industry related trend leaving thousands suddenly unemployed (see layoffs.fyi), it has spread across industries.
CEOs across the board were being challenged by their boards and by the market at large with questions like: “how are you using AI to cut costs and drive efficiencies?” One extreme example was Klarna’s Sebastian Siemiatkowski who said “I am of the opinion that A.I. can already do all of the jobs that we, as humans, do.” In 2024, Klarna created a chatbot with the goal of replacing 700 human customer service agents, arguably bringing faster case resolutions on average 9x faster than employees. After over a year of experimentation, the pendulum swung and the company acknowledged that while the case resolution was faster, the quality of the engagements plummeted. As a result, they’re now re-hiring humans back to their customer support teams, while likely not as many as the 700 employees laid off in 2024.
And Klarna is not alone. The Future of Jobs Report’s projections for 2030 support a more balanced approach. They expect an 8% displacement (92 million jobs), but the shift to be offset by the creation of 14% net new jobs (170 million jobs).
It seems the initial optimism has been toned down as we learn what AI systems really are capable of and learn as well that they do not excel at more human skills like empathy and understanding.
Skills of the Future
So if there are tasks that a machine is not great at, what does that mean for humans in the workplace?
First and foremost, it means that white-collar workers are using AI as a tool to get work done more efficiently. Microsoft & Linkedin’s 2024 Work Trend Index Annual Report uncovered that 75% of knowledge workers are already using AI for work. And according to the study, knowledge workers see a positive impact from using AI tools: “Users say AI helps them save time (90%), focus on their most important work (85%), be more creative (84%), and enjoy their work more (83%).” Executives are also supportive - 79% of leaders believe employees need to leverage AI in their organization to stay competitive.
Secondly, the same report highlights that companies embrace the new technology, while shifting their focus on critical skills required in the workplace. “Analytical thinking remains the top core skill for employers, with seven out of 10 companies considering it as essential.” The second skills in priority are resilience and flexibility, with agility, leadership and social influence come in at a third place. In summary, employers are seeing a shift in importance from what was once considered “hard” skills (reading, writing) and prioritizing what once were called “soft” skills - which we can now generalize as deeply human skills. In other words, companies are searching for adaptability, nimbleness and willingness to endure the change ahead.
We can conclude that companies are not looking to replace humans entirely from their payroll, but rather hiring talent and shaping organizations that are adaptable to a fast changing environment.
What If More Efficiency At Work Was Good?
Rethinking the Compensation Model for FTEs
Let’s imagine a world in which you’re able to produce not only the same outcomes but with increased efficiency and quality… in 50% of the time. Now the first question that comes to mind is - won’t the company just pay you half of your salary?
I see this shift as an invitation to rethink the reward model in full time employment.
In the freelance world, value-based pricing has become standardized - this is a pricing method where freelancers base their rates on the business impact of their work rather than on time or material.
Why not evolve full time employment remuneration in this direction as well? When an employee’s value-add comes from their ability to orchestrate tools and drive measurable efficiencies for an organization, shouldn’t they also be remunerated by the impact of their work?
According to a new study by PCW, “AI is making workers more valuable, with wages rising twice as quickly in those industries most exposed to AI compared to those least exposed.” In their analysis, workers with AI skills can obtain a 56% salary premium.
If value-based pricing became the standard, humanity’s dream would be unlocked: gaining back time.
The End of Hustle Culture (Finally)
Since the early 2000’s the term “hustle culture” hit the mainstream. According to Erin Griffith (attributed as the first writer to use the term) “Hustle culture is obsessed with striving, relentlessly positive, devoid of humor and — once you notice it — impossible to escape.”
Mental health in the workplace has been a recurring issue for years. According to Gallup’s State of the Global Workplace: 2024 Report, “work is a factor in life evaluations and daily emotions. On many wellbeing items (stress, anger, worry, loneliness), being actively disengaged at work is equivalent to or worse than being unemployed.” Or as a participant pointed out “If I’m not doing well at work, I’m not doing well in life. It’s just the way it is.”
Driven by the hustle culture, we’ve created generations of workers whose only definition of success is measured by zeros on their bank account and time spent at the office. This is backed up by execs in the tech industry like Zoom CEO, who famously claimed work-life balance doesn’t exist: ‘Work is life, life is work’ (Source: Fortune article)
If AI generated efficiency gains can be materialized with white-collar employees accomplishing their tasks in less time, a possible second gain becomes clear: regaining control of your mental and physical health.
Time As An Asset
Now, 20 hours of freedom weekly sound great - at the beginning. You’d tick items off of your endless to-do-list, you’d call that friend you’ve been meaning to write forever. But what happens once the novelty rubs off? How do we invest our newly gained freedom intentionally?
Cornell Psychologist Anthony Burrow, who runs the Purpose and Identity Processes Lab, describes purpose simply as “a self-organizing life aim.” And this matters, because uncovering and focusing on one’s purpose is thought to be a driver for life satisfaction and self-esteem.
This can take many shapes and forms - it could be that your purpose is to be a loving parent, to reduce loneliness in your local elderly community or simply to find a deep connection to nature. Having uncovered your purpose, you can now choose to invest your newly found freedom into activities that matter to you - without external judgement, without a particular timetable, just for the pleasure of doing so.
In this way, we look at time as an asset to invest with the ultimate return being an increase in your sense of purpose and fulfillment. So, while the hustle culture will make you believe that your work defines who you are, we have the opportunity to redefine success based on having time to invest in activities that truly connect with your identity and purpose. In this way, AI efficiency may unlock a third gain: living a purposeful life.
The Future I Want Us to Build
As an operator with +13 years of experience in tech, I feel giddy. This moment is the reason why I pivoted away from a marketing job where I felt like I needed to sugarcoat products in order to sell them off the shelf. I shifted into tech because I wanted to build solutions that people actually wanted. And after falling into the hustle culture trap, I found myself questioning why I allowed work to define my self-worth. After experiencing 3 career crises, and building a path that led me to founding a company, I’m excited to build in the future of work and develop solutions that redefine how we can find purpose in our work, regain control over our time and improve mental health along the way.
So I leave you with three simple questions: If you had an extra 20 hours every week, how would you choose to invest your freedom? What meaningful life experiences would you want to achieve during that time? And if you’re building a product today, how can it contribute to unlocking time, mental health and purpose for the next generation?
Disclaimer: This article has focused on the impact of AI on white-collar workers, as it is the industry segment I have deep knowledge of. This does not discount the opportunity to explore the impact of AI on blue-collar workers, but I wouldn’t want to presume knowledge of the experiences, challenges or opportunities of blue-collar workers. I rather leave that door open to a writer with extensive experience in this segment to explore.